Originally Posted by manwillneverfly
The bottom line, I think, is that credit card, ATM debit and cash are all needed to cover the unpredictabilities in foreign travel. The question for each trip is which is to be the main resource and which is for backup.
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2. ATM debits: Invariably better than CCs these days and could be the best money-saving choice in the Euro zone and other developed countries having plenty of ATMS. But you’ll need to withdraw multiple times because exact cash costs can’t be known in advance. For this reason, it’s crucial to know any conversion and transaction fees at your home bank, and move the account or start a new one at a bank with better terms if needed for frequent travel.
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No offense, but this is pretty horrid advice. There is NO reason to carry a debit card if you have (1) An ATM (non-debit) card, (2) a VI or MC, and (3) a backup VI/MC or Visa bux card or Trav Cheques.
If your debit card is stolen, you will have to fight with the bank to restore the $$ to your account, and you may not have access to your funds for (at a minimum) several days. By contrast, if your credit card number is stolen, you can cancel it immediately and have zero liability. At worst you go to your backup card for the rest of the trip.
I don't know where you come up with the idea that a debit card gives a better exchange rate. If you use it as an ATM card, you will get the same rate as you do at an ATM machine. If you use it as a VI/MC debit, you willl get dinged for the same 1-3% "conversion fee" or whatever your bank charges.
I don't have a debit card, but if I did I would never travel with it. Your best bet is still:
(1) ATM card with low/no fee for using foreign ATMs (e.g. some internet banks which rebate fees), or
(2) VI/MC card with low "exchange" fee, e.g. only Capital One, State Farm, USAA, and perhaps some credit unions.